Skip Navigation
Decrease Normal Increase

2017 & 2018 Rates

When TPU finalized its 2017/2018 budget, the plans showed it would cost $1.2 billion over the next two years to provide reliable services that customers want and need, operate the utility, maintain assets, and meet regulatory requirements.

Budget setting is a year-long process. It includes things like reviewing and projecting revenues, prioritizing expenses and identifying ways to operate as efficiently as possible. Each of the divisions develop their budgets together with the challenging goal of minimizing rate impacts while making the power, water and rail systems even more safe and reliable. The budgets must ultimately be approved by the Public Utility Board and City Council.

Staff from Tacoma Power and Tacoma Water proposed 2017/2018 rates for each utility, and the City Council approved the revised Tacoma Power rate ordinance at its April 4, 2017, meeting. The current rates for water went into effect January 1, 2018. The current rates for power went into effect April 1, 2018. 

TPU staff were engaged in community outreach and presentations about this rate proposal. 

Who We Are & How We Set Rates

Who we are:
  • Tacoma Power, Tacoma Water and Tacoma Rail.
  • While we bill for garbage, recycling, sewer and surface water, we do not set those rates. Environmental Services, a department of the City of Tacoma is responsible. 
  • More than 90% of our power comes from clean, renewable hydroelectricity. 
  • We manage our water and power supplies so we can meet customers' needs for decades to come.
  • Our water system relies on gravity, minimizing the need for electricity. 
  • We are stewards of our environment by protecting lands, fish and wildlife.
  • We contribute $41 million in tax revenues annually to the City of Tacoma General Fund, which pays for services like Police, Fire and roads.
  • We are one of Pierce County's largest employers, providing 1,400 family-wage jobs.
Our overarching rates principles:
  • We only bill customers for the revenue required to run our business.

  • Our rates are based on the cost to serve each customer class.

  • Our rate structure will give customers stable and predictable bills. 


Residential Rates Proposals

For us to support our long-term investments and capital-intensive operation and continue delivering quality water and power, we need to increase our rates as follows. This is a flat rate for all residential customers, and will apply to both 2017 and 2018.
  • Power: 
    • $5.75 per month (inside & outside the City of Tacoma)
  • Water: 
    • $1.49 per month (inside the City of Tacoma)
    • $1.79 per month (outside the City of Tacoma)

 Inside The City of Tacoma
Avg Monthly Electric Bill

Inside The City of Tacoma
Avg Water Bill 
Water Rates Outside the City of Tacoma
Water Rates Outside the City

We offer residential rebates and payment assistance:

Commercial Rates Proposals

Our commercial rates are based on the cost to serve each customer class. Proposed increases include:
  • Contract industrial: 5.4%
  • General service: 5.0%
  • High voltage general: 8.5%
  • Private off-street lighting: 13.0%
  • Small general service: 2.4%
  • Streetlights and traffic signals: 9.9%
  • System average: 5.9%
  • Commercial: 4.3%
  • Irrigation: 4.9%
  • Large volume commercial: 6.9%
  • Private fire protection: 1.4%
  • Pulp mill: 4.0%
  • System average: 4.0% 

We offer rebates: